Fonterra’s Canpac Site Looking to Focus More on Paediatrics

Fonterra is looking at realigning its
packing operations at Canpac, in the Waikato, to focus more
on paediatric nutritionals.

This would mean Canpac
would move to operating 24 hours a day, Monday-to-Friday,
instead of the current seven days a week operation.

The proposed changes could mean around 110 roles may not
be required at the site which currently employs 330.

Fonterra Director of NZ Operations, Robert Spurway said
Fonterra is proposing to resize the operation to better
align with Fonterra’s paediatric nutrition strategy.

“We’ve undertaken a thorough review of the site and
looked at where to focus the business after some of
Canpac’s volume was reduced, and have been considering
options to make the site run more efficiently and a better
fit with our strategy,” he said.“Canpac already has
high quality and food safety standards to meet the needs of
paediatric customers.“This is not a decision we have
taken lightly and we are working through a consultation
process with our people around the proposal. This will be a
blow for our people and we will do everything we can to work
with them to find new opportunities at our other sites in
the Waikato and further afield should they need
them.“As we move into the start of our busy milk
processing season we will have more job opportunities at our
other sites and we will aim to fill with those impacted at
Canpac.”

Mr Spurway said the Waikato is a vital
region for Fonterra, and the Co-operative employs around
2,000 people there and has invested more than $150 million
in the area in the past three years.

“We are
continuing looking at where we can further invest in the
Waikato, but have to make decisions based on what aligns
with Fonterra’s strategy and will drive the greatest
returns to our farmer-shareholders.

“We have
invested heavily in our foodservice business, spending $120
million on a new UHT plant at our Waitoa site and $30
million on a cream cheese plant at Te Rapa, which combined
have created 90 permanent jobs, on top of the hundreds
involved in the construction,” he said.

“We have
also recently lodged consents to build a new milk powder
drier at Lichfield and if this expansion goes ahead it would
mean another 50 processing jobs.”

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